Pharmed Healthcare

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• Graduate School of Business (MBA programs)
• Program: MBA
• Semester: 3rd
• Major: Strategic Management
• Course name: Strategic Management
• Group: S6
• Supervised by: Dr. Ashraf Labib
Student Names Registration No.

Ahmed Hassan Ibrahim Elhadad 19121356
Ahmed Sobhy Attia Ali 19121377
Aya Allah AbdelwahabSaid 19121731
Mohamed Rafat Mohamed Ahmed 19121788
Mahmoud Hossam Mahmoud Ahmed 19121583
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Table of Contents
Content Page Number
Introduction 04 of 60
1. Mission,Vision and Generic 1.1 Mission Statment 05 of 60
Strategies 1.2 Vision Statement 06 of 60
1.3 Company Slogan 06 of 60
Mona 1.4 Corparate Governance 06 of 60
1.5 Board of Directors 07 of 60
2. External factors analysis 2.1 PESTEL 08 of 60
2.2 Task enviroment analysis 5 Porter Forces 21 of 60
Aya 2.3 Strategic group map 24 of 60
Mayada 2.4 Strategic type Type what was in the link 26 of 60
Mostafa 2.5 Four corners analysis Will create content 27 of 60
2.6 Value displine traid Will create content 32 of 60
Need to add starbucks competitors
2.7 BGC Matrix 33 of 60
2.8 Industry attractivness 34 of 60
2.9 EFAS 35 of 60
3. Internal factors analysis 3.1 Value chain analysis 38 of 60
Hany 3.2 Situational analysis 42 of 60
3.3 Financial ratios 43 of 60
3.4 IFAS 44 of 60
4. Strategic factor analysis 4.1 SFAS Matrix 46 of 60
Heba 4.2 TWOS Matrix 47 of 60
4.3 Space Matrix 49 of 60
4.4 QSPM 51 of 60
5. Strategic Objective Mona 52 of 60
6. Implementation & Control 6.1 Balance Score card 53 of 60
6.2 Initative Implementation 54 of 60
6.3 Hierarchy of objectives 57 of 60
6.4 Hierarchy of policies 57 of 60
6.5 Strategic control matrix 58 of 60
6.6 Strategic control matrix 59 of 60
7. Final comment Mayada 60 of 60
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Introduction
 Company name : Pharmed health care

 Industry : Pharmaceutical industry
 Pharmed HealthCare is a multinational joint venture pharmaceutical company that has research
and development direction in manufacturing driven by intellectual capabilities.
 Shareholders:
• Hetero (India) 65 %
• New Medical Center (UAE) 25 %
• Pharma-med (Egypt) 10 %
 Pharmed HC established in Egypt in 2011, Pharmed HC focuses on developing manufacturing

and marketing of new finished products, which show a tradition of excellence in offering wide
range and high quality and affordable drugs.
 Approved by MOH in the year 2015 for manufacturing of Antiviral Products.
 In addition to our own portfolio, we are specialized in contract & Toll manufacturing for
pharmaceutical companies which looking for high quality Capsules & Tablets products.
 Sofosbuvir is an innovative molecule approved for Treatment of viral hepatitis C in combination

with Ribavirin with or without Interferon.
 Sofosbuvir (brand name Sovaldi) is a drug developed by Gilead Sciences used to treat hepatitis
C infection
 Pharmed successfully launched its first own antiviral Product Heterosofir in the year 2016 and
Heterosofir Plus in the year 2017.
 Due to decline in HCV market The Company sales declined from $130 Million in 2017 to $100
Million in 2020.
 Hetero the main shareholder in Pharmed health care is a strong player in API and finished
dosages.
 Manufacturing plants have FDA approvals and WHO approvals.
 Among the top 10 pharmaceutical companies in India.

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 Over 15000 employees globally.
 Development, Manufacturing and Marketing of Intermediate Chemicals, Active Pharmaceutical

ingredients and Finished Dosage forms.
1.0 Mission, Vision and Generic strategies
1.1 Mission statement
 We will provide our community in Egypt with high quality affordable pharmaceutical products
through our High-Tec plant to serve healthcare needs of professionals as well as patients, and to
ensure high profitability to our shareholders, by building integrity, passion for excellence and
concern for our employees and to be committed with our social responsibilities.
1.1.1 Comments on Mission statement
 Customers: Healthcare professionals (Doctors and pharmaciests) as well as patients.
 Products and services: High quality affordable pharmaceutical products.
 Market:
Egyptian pharmaceutical industry.
 Technology:
High-Tec plant.
 Concern for survival, growth, profitability:

To ensure high profitability to our shareholders.
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 Philosophy:
By building integrity, passion for excellence "work with integrity, trust and honesty".
 Self-concept:
Our Customers perceive us as a trusted source for high quality affordable medicines.
 Public image:
To be committed with our social responsibilities, and Communities benefit from our CorporateCitizenship.
 Employees:
Concern for our employees, our Employees can achieve personal and professional success
1.2 Vision Statement:
 To be recognized as a high quality affordable solution for healthcare products by seeking quality in
all aspects of our business to take a leading position among pharmaceutical companies
1.3 Company Slogan:

‘Better Health Better Life’
1.4 Corporate Governance:
 Dr.BPS Reddy: Chairman of the Board of Directors
 Dr. Morly Parthasaradhi Reddy : Pharmed Vice President
 Dr .Mohamed Mabrouk : Pharmed CEO
 Dr. Ashraf Badr : Business development Director
 Dr. Rami Mohamed :Pharmed Marketing director
 Dr. Dinesh Kumar : Pharmed Operation Director
 Mr. Hany Taha : Pharmed CFO
 Dr. Mohamed ElSaady : Pharmed Quality director
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1.5 Board of directors
 The boards of directors are responsible for the supervision of company executive's activities. Some
of the duties of Pharmed 's board of directors are as follows:
• Governing the organization by establishing broad policies and setting out strategic objectives
• Ensuring the availability of adequate financial resources
• Approving annual budgets.
• Accounting to the stakeholders for the organization's performance.
• Setting the salaries, compensation and benefits of senior management.
1.6 Generic strategies
 The organization follows the cost leadership strategy as all the organization products are
generic products
 The firm that follows a cost leadership strategy attempts to earn higher returns and competitive
advantages through offering products at the lowest prices in the industry.
 Cost leadership follows many cost minimization techniques.
 Costs is reduced through improved operating efficiencies, production learning and scale
economies, unique access to raw material, and special relationships with suppliers, distributors,
and customers.
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2.0 External Environment Analysis:
2.1 Remote / Societal Environment (PESTEL)
2.1.1 Political factors
• Relative political stability.

• Type of State
• Republic based on the Constitution adopted by referendum in January 2014. The State has a
presidential system of Government.
• Executive Power
• The President is the Head of State. He is elected via democratic elections for a four-year term
of office for up to two terms, as per the regulations of the March 2011 referendum.
• Legislative Power
• Parliamentary life began in Egypt since 1866.
• The Parliament of Egypt is currently a unicameral legislature; the power belongs to the House
of Representatives, composed of 596 members elected for a period of 5 years, the President
may dissolve the House of Representatives.
• For more than 135 years of parliamentary history Egypt witnessed 32 Parliaments whose
members ranged between 75 and 458 who contributed to writing Egypt's modern political
social, economic and cultural history.
• Main Political Parties

• In Egypt, there are 8 different active political alliances based on their religious and political
orientation.
• Current Political Leaders:

• President: Abdel fattah El-Sisi (re-elected for a second term in March 2018)
Prime Minister: Mostafa Madbouli (since 7 June 2018)
• Next Election Dates
- Presidential elections: April 2022
Parliamentary elections: November 2024
• Foreign relations
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• The permanent headquarters for the League of Arab States (The Arab League) is located in
Cairo.
• Former Egyptian Deputy Prime Minister Boutros Boutros-Ghali served as Secretary General of
the United Nations from 1991 to 1996.
• The Euro-Mediterranean Partnership launched at the 1995 Barcelona Conference between the
European Union and its originally 12 Mediterranean Partners: Algeria, Cyprus, Egypt, Israel,
Jordan, Lebanon, Malta, Morocco, Syria, Tunisia, Turkey, and the Palestinian Authority.
2.1.2 Economic factors
• Covid-19 pandemic
• Egypt is experiencing economical emergency after floating the Egyptian pound and the active
ingredient is imported.
• High inflation rate resulted increase in raw material prices wages and other supplies.
• Egypt economy has recovered since 2015 and further accelerated in the 2016-2017 fiscal year,
with growth reaching 4.2% of GDP (above the initial IMF forecast of 3.5%).
• Egypt’s simple average applied MFN tariff rate was 19.1% in 2017, slightly down from 20% in
2005
• Egyptian pharmaceutical market :
• Growing market which increasingly shifting in favor of generic medicine.

• Price is a major barrier so prescription rate and habit reflect purchasing power which in line
with generic drug market.
• Growing middle class with greater income lead to Market expansion.
• Potential for generic sector growth as the government becomes highly cost conscious.
• Egypt’s total pharmaceutical spending, which reached EGP 33 billion, is expected to continue
growing steadily.
• The business climate in Egypt has benefited from an active reform program and a regional
economic boom.
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• Egypt has a total of 1,969 private and governmental hospitals and 5,034 primary health care
units.
• Huge number of HCV patients exceeding 5 million patients in Egypt.
• More than 300,000 HCV patients expected to relapse.
• Well established companies like EIPICO & PHARCO which supported by government will
launch their products.
• Because of the governmental programs to eliminate HCV, it will not remain prevalent in
EGYPT for several decades (we can't depend on one product for long time.)
• Egypt is reliant on external financing and foreign aid to drive its economic development, In April
2015, France signed contracts worth USD1.5 billion with Egypt on various transport and
electricity projects
• Low GDP per capita leading to reduced pharmaceutical consumption levels due to the high cost
of living.
• Furthermore raising the price of fuels such as gasoline and gas It expands cost of manufacturing
and subsequently drives them to in reverse position in worldwide industry
• Egypt have signed many economic agreements with many counties as GAFTA, EFTA, eu-Egypt
association agreement and COMESA.
2017 2018 2019 2020 2021 (e)

GDP (billions USD) 236.53e 249.56e 302.26 353.00 376.54
GDP (Constant Prices, Annual % Change) 4.1 5.3 5.6 2.0 2.0
GDP per Capita (USD) 2,495e 2,573e 3,047 3,478 3,627
General Government Balance (in % of GDP) -10.8 -9.6e -7.7 -7.1 -5.0
General Government Gross Debt (in % of GDP 103.2 92.7e 84.9 83.8 80.7
Inflation Rate (%) 23.5 20.9 13.9 10.0 7.2
Unemployment Rate (% of the Labor Force 12.2 10.9e 8.6 7.9 7.3
Current Account (billions USD) -14.39 -5.96e -9.30 -9.89 -8.76
Current Account (in % of GDP) -6.1 -2.4e -3.1 -2.8 -2.3
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2.1.3 Social environment:
• Changes in people's lifestyles, disease prevention and control or other demographic trends
• The healthcare system in Egypt is underdeveloped with only around 29% of the population
covered by governmental health insurance.
• Almost 65% of the Egyptian people pay for their own insurance through private and other health
insurance organizations.
• The middle class represent approximately 39% of country’s 100 million people.
• EGYPT has the highest prevalence worldwide more than 11 million 32% in population of young
males.
• They account for the most spending in the economy, largely because they have 45% of the
country’s disposable income.
• The education indicators of Egypt project a poor image of the education system. Only about 74%
of the population is literate and there is a big difference in the literacy rates for males and females.
Male literacy rate is around 82%, while female literacy rate is just about 65%.
• One of Egypt’s biggest socio-economic problems is the high unemployment rate which has been
growing over the years. The unemployment rate which has averaged more than 10%.
2.1.4 Technological:
• Technology evolution in the industry is fast and needs to be updated frequently to avoid being left
behind with the first to implement radical new technology into the production process gaining
'first mover' advantages.
• The technological evolution in connecting tools (internet) can be opportunity or threat regarding
the marketing technological and new industry updates.
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• Internet users in Egypt recorded 37 million users, whether via landline phones or mobile phones,
in 2017/2018.
• Internet users via landline phone reached 32 million users, while USB modem users recorded
3.25 million by the end of February 2018.
2.1.5 Environmental:
• The pharmaceutical industry resulting in many harmful waste which should be handled in safe
way as per the industry standards and the Egyptian law which will add more cost to consider these
standard during start up and operations.
• According to the Law 4/1994 for the Protection of the Environment, the Egyptian Environmental
Affairs Agency (EEAA) was restructured with the new mandate to substitute the institution
initially established in 1982.
• The Principal Functions of the Agency Include:
 Formulating environmental policies
 Preparing the necessary plans for Environmental protection and Environmental
development projects, following up their implementation, and undertaking Pilot Projects.
 The Agency is the National Authority in charge of promoting environmental relations
between Egypt and other States, as well as Regional and International Organizations.
2.1.6 Legal:
• The Egyptian Drug Authority (EDA) is the pharmaceutical regulatory body of the Egyptian
Ministry of Health (MOH) and it is responsible for:
• Protecting people's health by regulating safety and quality of pharmaceutical products.

• Orchestrating and integrating all reviewing and analysis processes for products' registration, lot
releases and market monitoring.
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• Cooperation with relevant international organizations (such as the WHO) in order to improve
standards of pharmaceutical products and practices.
• Registration of new products in MOH takes too much time and money
• There are three main authorities affiliated to MOH which are mainly responsible for the
pharmaceutical sector: CAPA,NODCAR&NORCB
• Pharmaceutical entities, as defined under the Pharmacy Law include:
• Public pharmacies
• Private pharmacies
• Factories of pharmaceutical products.
• Drug warehouses.
• Drug agent’s warehouses.
• Stores trading in medicinal plants and its proceeds.
• Advertisement of pharmaceutical products by any means, either in newspapers, magazines, radio,

TV or any other modern advertising channels must be preapproved by the Supervisory Committee
on Emerging.
• According to Ministerial Decree 76/2000, the content of the advertisement of drugs,
pharmaceutical products and dietary supplements will be monitored by the MOH which shall
review the accuracy of the data and technical information to be announced in the advertisement.
The advertisement shall abide by the rules of the laws, ministerial decrees, morals and traditions.
An Arabic version of the package of the product and its labeling and prescription shall be
submitted and kept with the MOH.
• Pharmaceutical products in Egypt are subjected compulsory pricing by MOH.
• The pricing shall be applicable for 5 years.
• Reprising will be requested by the concerned company holding the registration of the
pharmaceutical product 3 months prior to the expiration of the 5 years’ period
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• Summary of PESTEL analysis:
SN Description Factor
Political • Relative political stability in Egypt
01
• Good relations with many sounding countries.
Economic • Covid-19 pandemic
02
• Egypt’s total pharmaceutical spending, which reached EGP 33 billion, is
expected to continue growing steadily.
• Egypt has a total of 1,969 private and governmental hospitals and 5,034
primary health care units
• Huge number of HCV patients.
• High inflation rate.
• Economic growth reaching 4.2% of GDP
• Furthermore raising the price of fuels such as gasoline and gas It expands
cost of manufacturing and subsequently drives them to in reverse position
in worldwide industry
• Low GDP per capita
• Egypt have signed many economic agreements with many counties as
GAFTA, EFTA, eu-Egypt association agreement and COMESA.
Social • The healthcare system in Egypt is underdeveloped with only around 29%
03
of the population covered by governmental health insurance.
• Almost 65% of the Egyptian people pay for their own insurance through
private and other health insurance organizations.
• The middle class represent approximately 39% of country’s 100 million
people. They account for the most spending in the economy, largely
because they have 45% of the country’s disposable income
• Changes in people's lifestyles, disease prevention and control or other
demographic trends
Technological: • Technology evolution in the industry is fast and needs to be updated
04
frequently to avoid being left behind with the first to implement radical
new technology into the production process gaining 'first mover'
advantages.
• The technological evolution in connecting tools (internet) can be
opportunity or threat regarding the marketing technological and new
industry updates.
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Environmental • The pharmaceutical industry resulting in many harmful waste which should
05
be handled in safe way as per the industry standards and the Egyptian law
which will add more cost to consider these standard during start up and
operations.
Legal • Registration of new products in MOH takes too much time and money
06
• Pharmaceutical products in Egypt are subjected compulsory pricing by
MOH.
• Regulatory restriction in distribution.
• Advertisement of pharmaceutical products by any means must be
preapproved by the Supervisory Committee on Emerging.
 Remote Analysis using issue priority matrix

• Opportunity
Probability of Impact
Factor High Medium Low
Relative political High Probability of
P1 Medium 4 Occurrence
stability in Egypt
Low
• Opportunity
Good relations with High Probability of
P2 many sounding Medium 4 Occurrence
countries Low
• Threat
Covid-19 High 1 Probability of
E1 Medium Occurrence
pandemic
Low
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• Opportunity
Steady growing High 1 Probability of
market
Low
• Opportunity
Egypt has 1969 High 2 Probability of
hospitals
Low
• Opportunity
Huge number of High Probability of
E4 Medium 3 Occurrence
HCV patients
Low
• Threat
High inflation rate High Probability of
Low
• Opportunity
Economic growth High Probability of
E6 reaching 4.2 % of Medium 4 Occurrence
GDP Low
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• Threat
Raising of fuel High Probability of
price
Low
• Opportunity
Low GDP per High Probability of
E8 capita Medium Occurrence
Low 8
• Opportunity
Changes in High Probability of
people's lifestyles,
Low 8
disease
prevention and
control or other
demographic
trends
• Opportunity
New social health High 1 Probability of
S1 Medium Occurrence
system
Low
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• Opportunity
EGYPT has the High Probability of
S2 Medium 4 Occurrence
highest
Low
prevalence
worldwide more
than 11 million
32% in population
of young males.
• Threat
Changes of life High Probability of
style, diseases
Low 6
prevention.
• Opportunity
65% of the High Probability of
Egyptian people
Low 6
pay for their own
insurance through
private and other
health insurance
organizations.
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• Opportunity
Fast industrial High Probability of
T1 Medium 4 Occurrence
technological
Low
evolution
• Opportunity
The technological High Probability of
T2 Medium 4 Occurrence
evolution in
Low
connecting tools
(internet)
• Threat
Harmful waste High Probability of
resulted from the
Low
industry
• Threat
Registration of High 1 Probability of
L1 Medium Occurrence
new products in
Low
MOH takes too
much time and
money
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• Threat
Compulsory High 1 Probability of
pricing by MOH.
Low
• Threat
Regulatory High 1 Probability of
restriction in
Low
distribution.
• Threat
Drugs advertising High Probability of
L4 Medium 4 Occurrence
requires
Low
preapproved
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2.2 Task Environment: (Porter’s five forces model)
2.2.1 Threat of New Entrants :
• This point encompasses not only the ease with which a new entrant is able to set up shop in an
industry but the question of sustainability of the set-up is also taken care of in this point. The
Egyptian Pharmaceutical Industry and the Pharmaceutical Industry in general has a high entry
barrier for new entrants wishing to enter into the industry.
• Some of the points that are related to the entry barrier in the pharmaceutical industry in general
are as follows: The presence of economies of scale in manufacturing, R&D, marketing, sales etc.
and Capital requirements and financial resources.
• Already existing companies have a huge advantage in terms of the costs involved in launching
new drugs and formulations.
• For a new entrant to match the economies of scale and R&D capabilities of the incumbent
companies is extremely difficult.
• The Differentiation of the product from the already existing products in the market and creating a
brand awareness in the minds of doctors and pharmacists since the products in this industry are
basically the same and the question of gaining trust of the patient/doctor is extremely important
new entrants can face an extremely tough time in this industry. Also a new entrant would need
time to develop efficient distribution channels and preferred arrangements with
doctors/pharmacists.
2.2.2 Bargaining Power of Buyers:
• In the pharmaceutical industry, the buyer does not have much power over the manufacturer
because of the presence influencing element in this case, i.e. the doctor.
• However, due to the extremely fragmented nature of the industry and the presence of government
policies which have the power to control prices the low power of the buyers does not have much
effect on the manufacturers.
2.2.3 Bargaining power of suppliers:
• The main suppliers to the pharmaceutical industry are mainly the organic chemical industries and
the labor force. The fragmented nature of the chemical industry prevents it from having much
bargaining power over the manufacturers as the switching cost is low for the manufacturers.
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2.2.4 Threat of Substitutes:
• The main substitutes to the synthetic pharmaceutical industry would be the emerging
biotechnology chemical industry. Also in a developing country like Egypt, the traditional
medicines also play a major substituting role. But such substitutes don’t have much power over
the pharmaceutical products in Egypt.
2.2.5 Intensity of Rivalry:
• The Egyptian Pharmaceutical Industry is extremely fragmented with around 150-250

manufacturing and formulation units.
• The differentiation in the products is very low. The key driver in the industry is cost-
competitiveness which rise to greater competition in the industry.
• Industry analysis using issue priority matrix
• Threat
New Entrants High Probability of
DE1 Medium Occurrence
. Low 8
• Threat
Power of Buyers High Probability of
DB1 Medium 4 Occurrence
Low
• Threat
Power of High Probability of
DS1 Medium 4 Occurrence
suppliers
Low
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• Threat
Substitutes. High 5 Probability of
DS1 Medium Occurrence
Low
• Threat
Rivalry High 1 Probability of
DR1 Medium Occurrence
Low
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2.3 Strategic Group Map
• Competitors are grouped based on the following criteria:

• Extent of product diversity.
• Extent of geographic coverage.
• Number of market segments served.
• Extent of branding.
• Marketing effort.
• Product quality.
• Manufacturing technology.
SN Company name ( Main Players) Group number
1 Pharmed Healthcare
2 EIPICO
3 PHARCO
4 UTOPIA Group 01
5 MASH
6 FPI
1 NOVARTIS
2 PFIZER Group 02
3 GSK
4 HIKMA
5 SANOFI
1 EVA PHARMA
2 GLOBAL NAPI Group 03
3 MARCRYL
4 MULTI APEX
5 AMOUN
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Extent of
product
diversity
PHARMED HC
Marketing effort
Page 25 of 60
2.4 Strategic Type
1. Prospectors :
• NOVARTIS
• PFIZER
• GSK
• SANOFI
• HIKMA
2. Defenders:
• UTOPIA
• FPI
• MASH
• PHARMED HEALTH CARE
3. Analyzers
• PHARCO
• EIPICO
• EVA
• GLOBAL NAPI
• MULTIAPEX
• MARCRYL
• AMOUN
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2.5 Four Corners analysis
EIPICO
Drivers Current Strategies

1. Increasing total sales by 10 % in 2021 1. Growth strategies to increase market share in the Egyptian
2. Increase the production of exporting products to be 25 % from the market (Commercial & Tender) & forging markets.
production capacity by 2022 2. Adding products to the company portfolio.
3. EIPICO exports cover 65 countries in the Middle East, Africa, Europe, 3. Utilize from the MOH programs in which MOH purchase large
Far East and Latin America EIPICO expansion plan targets 15 more quantities from different products.
countries by 2022
To be one of the World's Leading Pharmaceutical Companies
Management Assumption
Capabilities
1. Product trust 1. Portfolio comprises more than 400 products, covering
2. Work on the quality of our products to ensure their efficacy and more 24 therapeutic classes
safety are up to the highest standards 2. EIPICO has two manufacturing plants with the latest
3. EIPICO has a climate that helps creativity and innovation which technology
eventually leads to the continuous development of our business. 3. EIPICO has aplastic factory
4. Build high-performance teams working harmoniously together to 4. EIPICO has a biotechnology unit.
achieve assigned 5. Efficient staff.
5. EIPICO gives the opportunity and confidence to its staff through 6. Large distribution fleet.
authorization and delegation to assume responsibilities and 7. High experience in the industry science 1985
contribute to the overall company's success missions with the
best possible results. Page 27 of 60
PHARCO

1. Increase exporting to include more than 50 countries by the end 1. Growth in the local and the international markets especially the
of 2021. African market.
2. Increase sales (local & international markets) by 7 % by the end of 2. Starting backward integration by establishing manufacturing unit
2021. for active pharmaceutical ingredients which produce sofosbuvir
3. Continue the production of Hepatitis C products to achieve “used for hepatitis C treatment “as a starting point.
world free from hepatitis c by 2030.
Through innovative solutions, PHARCO can deliver the most affordable and effective treatments for all patients, everywhere.
Focusing right now is eradicating Hepatitis C, but will not stop there.
Capabilities
Management Assumption 1. Portfolio comprises more than 500 products, covering many
therapeutic classes.
1. PHARCO can deliver the most affordable and effective
2. Experience in pharmaceutical industry
treatments for all patients, everywhere.
3. PHARCO group is a giant group having 7 plants with about
2. Focus right now is eradicating Hepatitis C not only in Egypt but
8000 employees
worldwide.
4. Raw material manufacturing unit.
3. The company should have a good CRS towards the community.
5. Large distribution fleet.
Page 28 of 60
UTOPIA

1. Make the remaining plant department ready to start production by
the end of 2021 1. Market penetration of the Egyptian market.
2. Start exporting of 10 product to Saudi Arabia 2. Market development “ KSA market”
3. Increase sales by 15 % in the Egyptian market in 2021. 3. Product development “ Egyptian market”
4. Launching of ten new products during 2021
To be an added value to the society by providing pharmaceutical products and services of high quality which guarantee a better
life for patients, an ideal work atmosphere to our employees and gaining the trust of partners.
Manage me nt Assumption
1. The registration of pharmaceutical products that present an added value to

the market of medicine in the countries where we work and not to register
the highest number of products regardless of their benefits or the possibility Capabilities
of marketing them . 1. High quality standard products
2. Observing the patents of the pharmaceutical products that are still under 2. Outstanding marketing team
proprietary rights as we never register them prior to the expiration date of
3. Large marketing budget
the patency period stipulated in the “Trips Agreement” at the World Trade
Organization (WTO), even if the laws of the country allow that. 4. High market growth
3. To continuously open new markets and ongoing strive to cooperate with

more international companies in the field of research and development.
4. We work hard to gain the confidence of the society and maintain it through
our products and employees as well as our various services
5. Brand loyalty
Page 29 of 60
FPI

1. Improve revenue by 20 % 1. Market penetration of the Egyptian market.
2. Make more partnership with multinational firms 2. Market development “ Yemen market”
3. Start exporting to Yemen by June -2021 3. Product development.
4. Launching of antipsychiatry product line during 2021.
5. Reduce operation cost by 10 %
To secure a positive and pre-emptive role in delivering cost effective quality products that alleviate customers’ quality of life,
while attaining a competitive position within the pharmaceutical industry wherever we are.
1. Partners trust
Capabilities
2. Employees empowerment
1. Strong financial position
2. High tech. production facility
3. Customer loyalty
3. Large distribution fleet
4. High quality standard
4. Helping people feel good, look good and get more out of
life.
Page 30 of 60
MASH

1. Improve revenue by 25 % 1. Market penetration of the Egyptian market.
2. Focusing on Covid -19 products and increase sales of these 2. Supplying the MOH by Covid -19 products.
products by 70 % during 2021.
3. Launching of 20 products during 2021.
4. Making the 2nd plant ready for operation by March 2021.
Widening the company portfolio of pharmaceutical products
Capabilities
1. Double its annual product, brand and line extension launches
2. Focusing more on the pharmaceutical products over 1. Strong financial position
cosmetic products 2. High tech. production facility
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2.6 Value discipline triad
Product Leadership
EIPICO
PHARCO
PHARMED
UTOPIA
FPI
MASH
Operational Excellence Customer Intimacy
1. Customer intimacy:
 UTOPIA is the leading in customer intimacy; PHAMED comes in the 3rd place.
2. Product leadership:
 EIPICO is leading group in product leadership because the big net rates in Gulf and Egypt.
3. Operational excellence:
 PHARCO is the leading in operational excellence PHAMED comes in the 2nd place.
 Comment: PHARMED HEALTHCARE has a great opportunity in Operational

excellence
Page 32 of 60
2.7 BCG Matrix for PHARMED
High Low
1. Astranida
1. Lacomedel 50,100 mg ?
Relative Market Growth Rate
2. Amisulpride
2. Metlinag 3. Symbian
High
3. Fenaclomex 4. Meramerix
4. Weptonal 5. Meraflevet
5. Healthtadine
1. Semtedazol
1. Heterosovir 2. Donepezil
2. Heterosovir plus 3. Lendaquptin
3. 4. Razinimed
Low
Heterovelpa
4. Vonteroid 10,20 40,80mg 5. Claudizol
6. Tecentacav
7. Virnerist
8. Acetoflu
9. Hygigastin
Relative Market Share

Page 33 of 60
2.8 Industry attractiveness:
Critical Success
Factors PHARMED PHARCO MASH EIPICO UTO PIA FPI
We ight
Rate We ighted Rate We ighted Rate We ighted Rate We ighted Rate We ighted Rate We ighted
Score Score Score Score Score Score
Marke t Share 0.1 3 0.3 5 0.5 4 0.4 5 0.5 4 0.4 2 0.2
Product
0.15 5 0.75 3 0.45 4 0.6 4 0.6 4 0.6 4 0.6
Q uality
Manage ment 0.05 3 0.15 4 0.2 2 0.1 4 0.2 4 0.2 4 0.2
Financial
0.15 4 0.6 5 0.75 4 0.6 5 0.75 3 0.45 3 0.45
position
Customer
0.1 3 0.3 4 0.4 2 0.2 3 0.3 3 0.3 4 0.4
Loyalty
Global
0.05 5 0.25 4 0.2 2 0.1 3 0.15 3 0.15 2 0.1
Expansion
Price
0.1 2 0.2 3 0.3 5 0.5 4 0.4 3 0.3 4 0.4
compe titiveness
Re se arch and
0.15 4 0.6 4 0.6 3 0.45 3 0.45 4 0.6 3 0.45
de ve lopment
Marke ting /
0.15 4 0.6 4 0.6 3 0.45 3 0.45 5 0.75 2 0.3
Adve rtising
Total 1 3.75 4 3.4 3.8 3.75 3.1
Critical Success Factors PHARMED PHARCO MASH EIPICO UTO PIA FPI
Marke t Share 1.3 % 7% 1.3% 5% 0.88 % 0.50 %
Global Expansion 12 Countries 3 Countries 1 Country 02 Countries 02 Countries 01 Country
Marke ting / Adve rtising 70 M (L.E.) 100 M (L.E.) 30 M (L.E.) 60 M (L.E.) 120 M (L.E.) 20 M (L.E.)
R&D 20 M (L.E.) 8 M (L.E.) 1 M (L.E.) 7 M(L.E.) 18 M (L.E.) 3M(L.E.)
Page 34 of 60
2.9 EFAS
S.N Factor Weight Rating Weighted Comment

Score
Opportunities
1 Steadily growing market 0.11 3  Egypt’s total pharmaceutical spending, which reached EGP 33 billion, is
0.33
expected to continue growing steadily.
2 Large no. of hospital in Egypt 0.05  Egypt has a total of 1,969 private and governmental hospitals and 5,034 primary
3 0.15
health care units.
3 Huge HCV market 0.02 4 0.08 Huge number of HCV patients exceeding 5 million patients in Egypt.
4 New social insurance system 0.09  Almost 65% of the Egyptian people pay for their own insurance through private
4 0.36
and other health insurance organizations.
Sub Total 0.27 0.92
Page 35 of 60
Threats
5 Covid -19 Pandemic  Because of lock down and infection Covid-19 cause many harmful effect on
Pharmaceutical industry also this may be an opportunity for many organization to
3 0.39
increase sales of some products. But for Pharmed it is considered as a threat as
0.13 Pharmed doesn’t have products used in treatment protocols
6 High inflation rate  Most of raw materials are imported.

0.05  Higher cost of operation.
3 0.15
 Higher wages paid to employees.
7 Registration of new products in MOH 0.13  One product takes about 2 to 3 years for registration and about 0.5 M L.E.
takes too much time and money 3 0.39
8 Compulsory pricing by MOH. 0.13  Price is a major barrier so prescription rate and habit reflect purchasing power
3 0.39 which in line with generic drug market.
9 Regulatory restriction in distribution. 0.09  More regularity restriction in distribution of the product may affect the sales.
 The pricing shall be applicable for 5 years.
4 0.36  Reprising will be requested by the concerned company holding the registration of
the pharmaceutical product 3 months prior to the expiration of the 5 years’ period
10 High competition intensity. 0.20  The competition are very high in the Egyptian pharmaceutical market from local
3 0.60
and multination organizations
Sub Total 0.73 2.28

Sum 1
3.2
Weight
Page 36 of 60
 Comments:
• Regarding the EFAS analysis

• EFAS total weighted score = 3.2
• Which represent that there is a great opportunity in the Egyptian pharmaceutical
industry for generic investment
• But the HCV market declined aggressively due to many factors:
o Wrong statistics about the actual number of patients
o Governmental programs to eliminate HCV by 2020
Page 37 of 60
3 Internal Environment Analysis
3.1 Value Chain analysis
S.N Activities Factors For Assessing Activities

Primary Activities
Inbound logistic 1. Soundness of material and inventory control systems
01
2. Efficiency of raw material warehousing activities.
Operations 1. Productivity of equipment compared to that of key competitors
02
2. Appropriate automation of production processes
3. Effectiveness of production control systems to improve reality and reduce costs
4. Efficiency of plant layout and workflow design.
5. Efficiency of forecast
Outbound logistic 1. Geographical coverage
03
2. Distribution time
3. Sales representatives' productivity
4. Distribution Cost
5. Distribution Channels
6. Relation with distributors
Marketing
04 1. Effectiveness of market research to identify customer segments and needs
2. Evaluation of alternate distribution channels
3. Motivation and competence of sales force
4. Development of an image of quality and a favorable reputation
5. Extent of brand loyalty among customers
6. Extent of market dominance within the market segment or overall market
Service 1. Promptness of attention to customer complaints
05
Page 38 of 60
Supporting Activities
General
01 1. Capability to identify new-product market opportunities and potential environmental threats.
Administration
2. Coordination and integration of all value chain activities among organization submit
3. Timely and accurate management info on general and competitive environment
4. Level of info systems support in making strategic and routine decisions
5. Relationships with public policymakers and interest groups
Human Resource
02 1. Effectiveness of procedures for recruiting, training and promoting all levels of employees
2. A work environment that minimize absenteeism and keeps turnover at desirable levels
3. Levels of employee motivation and job satisfaction
Research & Tech

03 1. Timeliness of technology development activities in meeting critical deadlines
2. Quality of laboratories and other facilities
3. Qualification and experience of laboratory technicians and scientists
4. Ability of work environment to encourage creativity and innovation
Procurement
04 1. Development of alternate sources for inputs to minimize dependence on a single supplier
2. Procurement of raw materials (A) on a timely basis, (B) at lowest possible cost, (C) at acceptable levels of
quality
3. Procedures for procurement of plant, machinery, and buildings
4. Good, long-term relationships with reliable suppliers
Page 39 of 60
 Internal Environment Analysis Using VCA
Financial Activity Non- Financial

Competitor Associated Customer Actual
Cost cost Priority Status
23 25 Inbound Logistics
1. Soundness of material and inventory control systems - 2 - S
2. Efficiency of raw material warehousing activities. - S
- 2
10 8 Operations
1. Productivity of equipment compared to that of key competitors - 3 - N
2. Appropriate automation of production processes - S
- 2
3. Effectiveness of production control systems to improve reality and reduce costs - S
- 2
4. Efficiency of plant layout and workflow design. - 7 - W
5. Efficiency of forecast - 3 - N
18 17 Outbound logistic
- 5 - N
1. Geographical coverage
- 1 - S
2. Distribution time
- 5 - N
3. Sales representatives' productivity
- 4 - N
4. Distribution Cost
- 4 - N
5. Distribution Channels
- 4 - N
6. Relation with distributors
10 9 Marketing
1. Effectiveness of market research to identify customer segments and needs - 1 - S
2. Evaluation of alternate distribution channels - 5 - N
3. Motivation and competence of sales force - 4 - N
- 1 - S
4. Development of an image of quality and a favorable reputation
- 5 - N
5. Extent of brand loyalty among customers
6. Extent of market dominance within the market segment or overall market
- 5 - N
Page 40 of 60
2 3 Service
1. Promptness of attention to customer complaints - S
- 1
13 10 General Administration
1. Capability to identify new-product market opportunities and potential environmental - 5 - N
threats. - S
- 2
2. Coordination and integration of all value chain activities among organization submit - 5 - N
3. Timely and accurate management info on general and competitive environment - 5 - N
4. Level of info systems support in making strategic and routine decisions - W
- 8
5. Relationships with public policymakers and interest groups
6 5 Human Resource
1. Effectiveness of procedures for recruiting, training and promoting all levels of - 2 - S
employees
- 3 - N
2. A work environment that minimize absenteeism and keeps turnover at desirable levels - 8 - W
3. Levels of employee motivation and job satisfaction
10 13 Research & Tech
1. Timeliness of technology development activities in meeting critical deadlines - 2 - S
2. Quality of laboratories and other facilities - 2 - S
3. Qualification and experience of laboratory technicians and scientists - 2 - S
4. Ability of work environment to encourage creativity and innovation
- 3 - N
8 10 Procurement
1. Development of alternate sources for inputs to minimize dependence on a single - 2 - S
supplier
2. Procurement of raw materials (A) on a timely basis, (B) at lowest possible cost, (C) at - 2
acceptable levels of quality - S
- 2 - S
3. Procedures for procurement of plant, machinery, and buildings
- 2 - S
4. Good, long-term relationships with reliable suppliers
100 100
Page 41 of 60
3.2 Situational Analysis
3.2.1 Strengths
 High quality production
 Pharmed Financially and technically supported by 2 multinational corporates
 Hetero one of the main players in the pharmaceutical industry worldwide
 Early launch ( 2nd product in the market after sovaldi)
 A lot of clinical trials supporting the efficacy of the molecule.
 High financial resources support our promotional activities.
 Multichannel Marketing activities
 Well trained sales forces
 Especial affordable price than other competitors ( private market)
 High performance of our R&D department
 International CRM system
 Strong registration department
3.2.2 Weakness
 Low customer awareness about the company and its products (New Company).
 Inadequate relation with KOL doctors (hepatologists and IM).
 Lack of experienced sales team in MOH and hospitals whom are very important for this
product.
 Limited portfolio, the company depends only on one therapeutic area with 2 products.
 HCV recurrence rate with Sofosbuvir reaches 15 %.
 Because of the governmental programs to eliminate HCV, it will not remain prevalent in
EGYPT for several decades (we can't depend on one product for long time.)
 HCV private market is a highly Elastic market.
 Registration of new products in MOH takes too much time and mon
Page 42 of 60
3.3 Financial ratios
Ratio 2020 2019 2018 2017

Current ratio 1.5 times 1.33 times 1.3 times 1.11 times
Quick ratio 0.85 times 0.70 0.72 0.67
Net Profit Margin 5.3 5.2 4.6 5.2
ROI 22% 18% 17% 19%
ROE 8% 7.6% 6.4% 6.6%
Debt to Asset Ratio 45% 49% 48% 49 %
Page 43 of 60
3.4 IFAS
Weighted
Key Internal Factors Weight Rating
score
strengths
Strong inventory control systems 0.08 3 0.24
High quality production 0.11 4 0.44
Appropriate automation of production processes 0.07 3 0.21
Effectiveness of market research to identify customer segments and needs 0.09 3 0.27
Strong financial position 0.11 4 0.44
Pharmed supported by 2 multinational corporates 0.06 3 0.18
Well trained work force 0.05 3 0.15
Strong in Research and development, Innovation product development 0.06 2 0.12
Multichannel procurment activities 0.04 2 0.08
Strong registration department 0.08 3 0.24
Weaknesses
Low customer awareness about the company 0.03 2 0.06
Limited distribution channels 0.06 3 0.18
Weak Relationships with public policymakers and interest groups 0.06 4 0.24
Dependence on few products 0.06 4 0.24
Levels of employee motivation and job satisfaction 0.04 2 0.08
Total 3.17
Page 44 of 60
 Regarding the IFAS analysis
• Our IFE weighted score = 3.17

• We are a strong company supported by:
o Well trained field force
o Strong R&D department
o Strong Registration department
o Good financial position
• Low customer awareness about the company
• Limited distribution channels
Page 45 of 60
4. Strategic factor analysis
4.1 SFAS Matrix
Weighted
Factors Weight Rating
score
Strengths
High quality production 0.06 3 0.18
Strong financial position 0.14 4 0.56
Strong registration department 0.06 4 0.24
Weaknesses
Limited distribution channels 0.05 3 0.15
Weak Relationships with public policymakers and interest groups 0.06 2 0.12
Low customer awareness about the company 0.05 3 0.15
Opportunities
Steadily growing market 0.12 3 0.36
Large no. of hospital in Egypt 0.04 3 0.12
Huge HCV market 0.04 4 0.16
New social insurance system 0.04 3 0.12
Threats
Covid -19 Pandemic 0.09 3 0.27
High inflation rate 0.04 3 0.12
Registration of new products in MOH takes too much time and money 0.06 4 0.24
High competition intensity. 0.15 3 0.45
Total 3.24
Page 46 of 60
4.2 TWOS MATRIX
Opportunity Threats
Growth Strategies (Integration) Conservative Strategies

• Egypt’s total pharmaceutical spending reach 33 billion LE.(O) • Covid -19 Pandemic
• Pharmaceutical industry trends toward generic products of affordable price. (O) • High inflation rate
Strengths
 Strong financial position. (S) • Registration of new products in MOH takes too
 High quality production. (S) much time and money
 Strong registration department (S) • High competition intensity.
Strategy: Horizontal Integration (acquisition of small generic companies with good  High quality production
portfolios)  Strong financial position
 Strong registration department
Growth Strategies (Intensive) Defensive Strategies

• Steadily growing market (O) • Covid -19 Pandemic (T)
• Large no. of hospital in Egypt (O) • High inflation rate (T)
• Huge HCV market (O) • Registration of new products in MOH takes
• New social insurance system (O) too much time and money (T)
Weakness
 Limited distribution channels (W) • High competition intensity. (T)

 Weak Relationships with public policymakers and interest groups (W)
 Low customer awareness about the company (W)  Limited distribution channels (W)
 Weak Relationships with public
policymakers and interest groups (W)
Strategy: Product Development (develop new products generations )
 Low customer awareness about the
Strategy: Diversification (Register new products in other therapeutic areas) company (W)
Page 47 of 60
 TOWS Matrix Analysis: Strategy Selection
• Egyptian pharmaceutical industry is a highly attractive market.
• Pharmed SWOT analysis gives us direction to select growth strategies.
• To grow in this market we have two ways:
1) Internally (intensive strategies)
By use our current resources to overcome our weakness and capture the market opportunities,
either by: (WO)
 Diversification:
 Register many new products in different therapeutic areas
 Product development:
 Our R&D department in collaboration with R&D department in the mother company in
India can develop a new molecules along with our strong registration department.
2) Externally (integration strategies)

 Horizontal integration: (SO)
 Due to the longtime of new registrations (up to 3 years) and the strong financial position
supported by multinational companies.
 Pharmed can acquire a small generic company with good portfolio.
 Pharmed has a high-tech plant that has the capacity to manufacture a lot of products.
 Pharmed has a well-trained sales team that can promote many products.
Page 48 of 60
4.3 Space Matrix
Internal Strategic Position External Strategic Position

Competitive Advantages (CA) Industry Attractiveness (IS)
(-6 Worst -1 Best) (+1 Worst +6 Best)
-2 Product Quality +4 Barriers to entry
-2 Market Share +5 Growth Potential

-3 Brand & Image +4 Access to financing
Axis (X)
-6 Product Life cycle +3 Consolidation
Average = -3.25 Average = 4

Total axis (X) Score = 3
Financial (FS) Environmental Stability (ES)
(+1 Worst +6 Best) (-6 Worst -1 Best)
+2 ROA -4 Inflation
+3 Leverage -2 Technology
Axis (Y)
+3 Liquidity -2 Demand elasticity

+3 Cash flow -4 Taxation
Average = 2.75 Average = -3
Total axis (Y) Score = -1
Page 49 of 60
Conservative Space Matrix Integration
strategies 6
strategies
5
4
3
2
1
0
-6 -5 -4 -3 -2 -1 0 1 2 3 4 5 6
-1
-2
(3 , -1)
-3
-4
Defensive -5 Intensive
strategies -6 strategies
 Comment
• It gives us direction towards one of the intensive strategies:
1) Market Penetration
- Get the maximum from the current market by available resources.
- Hard to implement due to declined market.
2) Market Development
- To penetrate new markets (geographically) with the same products.
- Not valid, we are licensed to promote our product only in Egypt.
3) Product Development
4) Diversification
• So for pharmed the best intensive Strategies are:

1) Product Development
 Develop our product to be in more than one concentration and different dosage forms.
2) Diversification
 To register new products in new therapeutic areas.
Page 50 of 60
4.4 Quantitative strategic planning matrix (QSPM)
Alternative 1 - intensive (Dive rsification) Alternative 2 – integration (Acquire Compe titor)
Key Factors Weight
Attractiveness score T AS Attractiveness score T AS
Strength
Financial position 0.25 4 1 2 0.5
Quality of production 0.05 3 0.15 3 0.15
Strong registration department 0.2 4 0.8 3 0.6
Strong R&D department 0.15 4 0.6 3 0.45
Weakness
Limited distribution channels 0.1 2 0.2 3 0.3
Weak Relationships with public policymakers and interest groups 0.2 2 0.4 2 0.4
Low customer awareness about the company 0.05 2 0.1 3 0.15
Sum Weights 1
Opportunities
Steadily growing market 0.2 4 0.8 4 0.8
Large no. of hospital in Egypt 0.05 3 0.15 3 0.15
Huge HCV market 0.05 2 0.1 1 0.05
New social insurance system 0.1 3 0.3 3 0.3

T hreats
Covid -19 Pandemic 0.15 3 0.45 3 0.45
High inflation rate 0.1 3 0.3 2 0.2

Registration of new products in MOH takes too much time and
0.1 4 0.4 3 0.3
money
High competition intensity. 0.25 4 1 4 1
Sum Weights 1
Sum T otal Attractiveness Score 6.75 5.8
Page 51 of 60
 This QSPM compares two alternatives (Diversification & Acquisition)
 Company executives determined that: Diversification is the best method
 Pharmed Healthcare needs to pursue an aggressive strategy aimed at development of new products and penetration of new
markets.
5. Strategic objective
 Increase company revenues to reach 350 Million, increase profit by 10 %, increase market share to be 3 % by 2024
and to be one of the top 50 pharmaceutical companies in Egypt.
Page 52 of 60
6. Implementation and control
6.1 Balanced Scored Card
Strate gic obje ctive Targe t KPI Time O bje ctive Targe t KPI Time
2021 2022 2023 2024 2021 2022 2023 2024
Increase Actual sales 120 M 160 235 M 350 Financial Revenue 350 M Actual sales 120 160 235 350
Increase company revenues company revenue M M revenue M M M M
to reach 350 Million, revenues to Profit 10 % Actual 2% 6% 7% 10%
reach 350 profit/T arget
increase profit by 10 %, Million Profit
increase market share to be M Share 3% A MS/T MS 0.5 1.2 5 2.1% 3%
3 % by 2024 and to be one %
Growth 49 % Actual 20% 33% 47% 49%
of the top 50 pharmaceutical Growth rate/
companies in Egypt. T arget growth
rate
Customer Availabilit 100 % Actual Ava/T 50 % 70 % 85 % 100
y Ava. %
Increase profit Actual 1% 6% 7% 10% Price Price Actual P. / 40 % 50 % 70 % !00

by 10 % profit/T arget satisfact T arget P. %
Profit ion
Increase Actual 1.5% 1.7% 2.4% 3% Proce ss Decrease 30 % Actual cost 5% 15% 25% 30%
market share MS/T arget MS Operation per
to be 3 % cost unit/Planned
cost per unit
MIS SAP 100 % 40% 70% 90% 100
system implementatio %
n
Capacity 80% Actual cap. 50% 60% 75% 80%
utilization Utilized/
Installed cap.
T o be one of Actual Growth 20% 33% 47% 49% Le arning T rained 30 T arget/Actual 10% 20% 25% 30%
the top 50 rate/ T arget and candidates training
pharmaceutical growth rate growth progra
companies in ms
Egypt
Page 53 of 60
6.2 Initiatives Implementation (2021)
Objective Target KPI Time Tactics Target KPI Time

2021 2022 2023 2024 Q1 Q2 Q3 Q4
Increase company Increase Actual sales 120 Financial Increase 120 Actual
revenues to reach 350 company revenue M budget by Million Sales 30 55M 100 120M
Million revenues to 50 % to Sales revenue M M
reach 350 cover the volume.
Million expenses of
our new
strategies.
Customer Product New 5 Actual 2 1 1 1

availability stores Ava/T
Ava.
5 new 1 2 1 1
products
Affordable Customer % 25 40% 45 50%

price satisfactio Customer % %
n satisfaction
Process Increase 20 % 12 15% 17% 20%

marketing %
activity by
20%
Learning T rained 10 No. of 5 2 2 1
and candidates training program
growth programs executed
Page 54 of 60
2021 2022 2023 2024 Q1 Q2 Q3 Q4
Increase profit by 10 % 10 % Actual 1% Financial Actual
profit/T arget Profit Increase sales 120 M 30 55M 100 120M
Sales
revenue M M
revenue
Increase profit 1% Profit 0.1 0.3% 0.3% 0.3%

margin margin %

availability stores Ava/T Ava.
5 new 1 2 1 1
products
Affordable price Customer % Customer 25 40% 45 % 50%

satisfaction satisfaction %
Process Decrease 5% Actual cost 1% 1% 3%

operational cost per
unit/Planne
d cost per
unit
Learning 10 training No. of 5 2 2 1 10
and programs program training
growth executed programs
Page 55 of 60
2021 2022 2023 2024 Q1 Q2 Q3 Q4
M Share increase by 0.5 3% A MS/T MS 0.5 % Financial Actual 6% 4% 3% 2%
% Increase 15% MS /
market share
Planned
of Antibiotic
MS
line to 15 %

availability stores Ava/T Ava.
5 new 1 2 1 1
products
Affordable price Customer % Customer 25 40% 45 % 50%

satisfaction satisfaction %
Process Registration of 5 Actual no, 3 1 1

5 new products products
registered
Launching of 5
new products Actual no. 2 1 2
products
launched
Learning 10 training No. of 5 2 2 1 10
and programs program training
growth executed programs
Page 56 of 60
6.3 Hierarchy of Objectives
o Our Strategy is to:
Increase company revenues through increase our portfolio either by:
• Diversification by new products into new markets, or

• Acquisition of small generic companies with good portfolio
• Develop new generations of existence products; product development
6.4 Hierarchy of Policies
R&D Registration Sales & Marketing Production Finance

2021 Annual Polices 2021 Annual Polices 2021 Annual Polices 2021Annual Polices 2021Annual Polices
- Develop new generation - Start registration process for - Hiring 10 new medical - Prepare regulations and - Spend 8 million for acquiring
of Antibiotics for 5 new molecules after representatives. approvals for the expected two new products in new
children. approval from marketing products. therapeutic area.
- Preparing promotional
department.
- Follow up new FDA materials and training - Prepare all needed items to - Spend 1 million in the first
approved drugs in the - Search for new acquisitions manuals for new products. produce these new drugs step of registration of new
ministry of health and and send your (Raw materials, technology, molecules.
- Preparing new message focus packaging and legal
send your recommendations to the
on relapse cases. - Spend 5 Million LE on sales
recommendations to the marketing department. documents)
and marketing expenses
marketing department. - Increase marketing activities
by 20 % (group meetings & - Secure the new products'
brand reminders) Launch expenses
- Special governmental
campaign to increase
awareness .
Page 57 of 60
6.5 Implementation Matrix
Functional
Functional Objective Policies / Procedures KPIs
Area
- Start Production procedure for expected four - Prepare regulations and approvals for the - Import raw materials needed for
new products. new expected products. pilot phase production of new
Production - Prepare (Raw materials, technology, products.
packaging and legal documents). - Prepare all legal documents.
- Develop 2 new generations of Antibiotics - Develop new generation for children. - Establish MOH approvals for new
R&D generations ..
- Start registration procedures for 2 new - Start registration procedures of two new - Establish MOH approvals for
molecules. products. registration of new molecules.
Registration - Prepare legal documents needed for - Weekly follow up in the MOH.
registration.
- Achieve 120 Million LE sales value. - 4 new Campaigns - Achieve 120 Million sales Value
- Increase sales team 20 % - Preparing promotional materials and
Marketing / - Increase marketing activities by 20
Sales - 2 new Launches for the 2 new developed training manuals for new products.
%
products. - Increase marketing activities by 20 %
- Increase Field force by 20 % - Make online announcement for new - Recruit ten new sales
vacancies representatives.
HR - Set screening interviews to select new
candidates.
- Spend budget of 14 million LE to achieve - We need to Increase budget by 50 % to - Spend 8 million for acquiring two
- 120 Million Sales volume. cover the expenses of our new strategies. new products.
Finance - Spend 5 Million LE on sales and
marketing
- Spend 1 million in the first step of
registration of new molecules
Page 58 of 60
6.6 Strategic Control Matrix
Functional
Functional Objectives KPIs Planned KPIS Achieved Deviances Possible Reasons
Area
- Increase production 20 % - Production of 10,000 - Production of 18,000 U - 2,000 - Defective units
Production units from each 2 new
products.
- Develop two new - One for relapse cases - Succeed in - 0 -
R&D products - One for children development of two
products
- Start registration of 2 - Finish legal papers - Finish legal papers - 50 % - Lack or raw
Registration new molecules - Prepare pilot patch - Pilot patch not materials
manufactured
- Achieve 120 Million LE - Sales volume 120 Million - 105 Million - 15 M - Delay in new
Marketing /
sales products
Sales
Launch
- Recruitment of 10 new - Total 60 MR - Total 55 Medical Rep - 5 MR - 10 % Turnover
MR - Product knowledge - Training done of our
HR
- Training for sales team training employees
on new products
- Target = 120 Million - Achieve our target - Achieve 105 Million - 15 M - Delay of new
Financial - Budget = 14 Million - Spend budget on sales - Spend 10 Million - 4M products
and marketing expenses Launch
Page 59 of 60
7. Final Comment
 Starting with complete situational analysis for pharmed healthcare:

• The EFAS shows the great opportunity in the Egyptian pharmaceutical market with high impact
on our company.
• The IFAS shows that we have to focus on our financial and human resource strengths to reverse
the decline in our revenues.
• This decline mainly because of dependence on few products.
• After Appling strategy analysis matrices (SWOT, TOWS, Space, and QSPM), for the company to
maximize its revenues we should increase our product portfolio either by:
 Diversification by new products into new markets, or
 Acquisition of small generic companies with good portfolio
 Develop new generations of antibiotics to treat children.
• Our Strategic objective is to:

 Increase company revenues to reach 350 Million, increase profit by 10 %, increase
market share to be 3 % by 2024 and to be one of the top 50 pharmaceutical
companies in Egypt.

• All departments should cooperate to achieve this objective:
 Finance annual objective: 120 M volume sales, 14 M budget for sales and marketing
expenses.
Secure liquidity needed for the two new acquisitions.
 R&D annual objective: To develop two new molecules.
 Registration of two new molecules in different therapeutic area.
 Production annual objective: To increase production by 20% this year.
 Marketing annual objective : Favorite carmaker , Best cars, Best Value, Best Service
 HR annual objective: To increase field force by 20 %.
• There are a set of (KPIs) for each department to insure right implementation of selected strategies.
Page 60 of 60

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Pharmed Healthcare

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• Graduate School of Business (MBA programs)

Student Names Registration No.

 Company name : Pharmed health care

 Pharmed HC established in Egypt in 2011, Pharmed HC focuses on developing manufacturing

 Approved by MOH in the year 2015 for manufacturing of Antiviral Products.

 Sofosbuvir is an innovative molecule approved for Treatment of viral hepatitis C in combination

 Manufacturing plants have FDA approvals and WHO approvals.

 Among the top 10 pharmaceutical companies in India.

 Development, Manufacturing and Marketing of Intermediate Chemicals, Active Pharmaceutical

1.0 Mission, Vision and Generic strategies

1.1 Mission statement

1.1.1 Comments on Mission statement

 Customers: Healthcare professionals (Doctors and pharmaciests) as well as patients.

 Products and services: High quality affordable pharmaceutical products.

 Concern for survival, growth, profitability:

1.2 Vision Statement:

1.3 Company Slogan:

1.4 Corporate Governance:

 Dr.BPS Reddy: Chairman of the Board of Directors

 Dr. Morly Parthasaradhi Reddy : Pharmed Vice President

 Dr .Mohamed Mabrouk : Pharmed CEO

 Dr. Ashraf Badr : Business development Director

 Dr. Rami Mohamed :Pharmed Marketing director

 Dr. Dinesh Kumar : Pharmed Operation Director

 Mr. Hany Taha : Pharmed CFO

 Dr. Mohamed ElSaady : Pharmed Quality director

1.6 Generic strategies

2.1 Remote / Societal Environment (PESTEL)

2.1.1 Political factors

• Relative political stability.

• Main Political Parties

• Current Political Leaders:

2.1.2 Economic factors

• Egyptian pharmaceutical market :

• Growing market which increasingly shifting in favor of generic medicine.

and subsequently drives them to in reverse position in worldwide industry

2017 2018 2019 2020 2021 (e)

covered by governmental health insurance.

country’s disposable income.

'first mover' advantages.

the marketing technological and new industry updates.

3.25 million by the end of February 2018.

standard during start up and operations.

initially established in 1982.

• The Principal Functions of the Agency Include:

 Formulating environmental policies

 Preparing the necessary plans for Environmental protection and Environmental

development projects, following up their implementation, and undertaking Pilot Projects.

 The Agency is the National Authority in charge of promoting environmental relations

• Protecting people's health by regulating safety and quality of pharmaceutical products.

• Advertisement of pharmaceutical products by any means, either in newspapers, magazines, radio,

 Remote Analysis using issue priority matrix

2.2.1 Threat of New Entrants :

2.2.2 Bargaining Power of Buyers:

2.2.3 Bargaining power of suppliers:

• The Egyptian Pharmaceutical Industry is extremely fragmented with around 150-250

• Industry analysis using issue priority matrix